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Sendo has largely won the first stage of its lawsuit against Microsoft, which yesterday failed to have the suit dismissed, or moved from Texas to Washington state. Sendo is suing former smartphone partner Microsoft for a range of alleged sins, the central claim being that the company swiped Sendo's expertise and technology and handed it over to rival, low-cost manufacturers.

It kept Sendo thinking it was going to get first crack at the MS Smartphone market until it had the technology and the contacts, then dumped it, claims Sendo.

According to Sendo communications director Marijke van Hooren, practically all of the company's claims can now go forward. The judge declined to allow a claim for punitive damages at this stage, although van Hooren says that such claims can still be pursued should Sendo win.

Microsoft may lodge an appeal, but otherwise the case now moves into the discovery phase, with a trial expected towards the end of next year. ®